The report by Meyers Norris Penny was to “evaluate municipal infrastructure financing alternatives and provide the Ministry and municipal sector with an analysis of viable infrastructure financing options for Saskatchewan to ensure that the province can achieve a long term, predictable and sustainable approach to funding municipal infrastructure.”

It’s one of three reports that will lead to recommendations on a long-term funding program for Saskatchewan municipalities.

And the report is positive on the sales tax idea:

The use of special purpose taxes, such as the proposed Penny Tax, can provide an effective financing tool for municipalities that acts as a new revenue source versus continuing to overly rely on source of debt financing. In order to reduce the administrative burden on municipalities and taxpayers, this would likely be “piggy-backed” on federal and provincial taxes.

We encourage all readers to share their views on our articles and blog posts. We are committed to maintaining a lively but civil forum for discussion, so we ask you to avoid personal attacks, and please keep your comments relevant and respectful. If you encounter a comment that is abusive, click the “X” in the upper right corner of the comment box to report spam or abuse. We are using Facebook commenting. Visit our FAQ page for more information.